Condo Gine Star Fruits

In the ultra-exclusive world of the extremely wealthy, the market for Good Class Bungalows (GCBs) has seen a significant increase in performance compared to 2023, according to Han Huan Mei, director of research at List Sotheby’s International Realty. As of December 20th, URA Realis records show a total of 22 GCB transactions worth $612.05 million. In addition, there were another 13 GCB deals, valued at over $700 million, which were completed this year without caveats lodged. This brings the total estimated number of 2024 to 35 GCB transactions, which is worth roughly $1.32 billion according to List Sotheby’s estimates, surpassing the previous high of $1.186 billion achieved in 2022. In contrast, there were only 18 GCB transactions in 2023, worth $432.5 million, which is the lowest number recorded since URA Realis began tracking data in January 1995.

When contemplating an investment in a condo, it is crucial to also evaluate its potential rental yield. Rental yield refers to the annual rental income as a percentage of the property’s purchase price. In Singapore, the rental yields for condos can greatly vary depending on factors such as location, property condition, and market demand. Typically, areas with high rental demand, like Condo near business districts or educational institutions, offer more promising rental yields. It is essential to conduct thorough market research and seek advice from real estate agents to gain valuable insights into the rental potential of a specific condo.

“The additional deals in 2024 show that the GCB market has been more active compared to what official transaction data reveals,” says Han. “It also reinforces the status of GCBs as a highly coveted asset that is constantly sought after by ultra-high-net-worth buyers.”

Top GCB transactions

The top transaction is a GCB at Tanglin Hill which was sold for $93.888 million. The property sits on a freehold plot measuring 15,150 sq ft and has a built-up area of 29,660 sq ft. This transaction set a new record with a land rate of $6,197 psf. The second-largest GCB transaction was the purchase of a property at Bin Tong Park for $84 million by Xiang Yangyang, daughter of Chinese nickel billionaire Xiang Guangda, according to a document search. However, no caveat was lodged for the property. Based on the land area of 28,111 sq ft, the price translates to a land rate of $2,988 psf. The highest-priced deal based on lodged caveats was for a GCB on Cluny Hill, which was sold for $52 million. It sits on a freehold plot measuring 15,141 sq ft and is relatively new, fetching a land rate of $3,434 psf. Another significant transaction was the sale of a 21,116 sq ft GCB plot at Astrid Hill for $49 million ($2,321 psf) in July. The property was reportedly purchased by Glenn Kuok, nephew of Kuok Khoon Hong, chairman and CEO of Wilmar International.

Mohan Sandrasegeran, head of research and data analytics at Singapore Realtors Inc (SRI), notes that at least 14 transactions this year were valued at $20 million or more, highlighting the strong demand for ultra-luxury properties in Singapore. According to him, District 10 remains the cornerstone of the GCB market, with 16 transactions taking place in prime areas like Tanglin, Bukit Timah, and Holland Road.

Sustained buying activity

Sandrasegeran notes that GCB transactions were evenly spread throughout the year, with buying activity increasing from July. “Overall, the fact that we saw GCB deals closing throughout the year suggests sustained buying interest for these trophy properties despite external economic factors, such as inflationary pressures and the presence of high interest rates in the first eight months of the year,” he says.

Steve Tay, co-founder and executive director of his eponymous boutique luxury agency in Singapore, says the trajectory of interest rates signaled by the US Federal Reserve (Fed), rather than the rate cuts themselves, was the main driver of stronger buying sentiment in the GCB market during the second half of the year.

The Fed implemented three rate cuts this year: the most recent being a 25 basis point (bp) reduction on December 18th, following earlier cuts of 50 bp in September and 25 bp in November. Anecdotally, Tay says most GCB buyers who had been holding back on their purchases began more serious discussions from July onwards, with most deals closing in the last quarter of this year.

The GCB market slowed last year as buyers retreated following the island-wide arrests of suspects in Singapore’s biggest money-laundering case, says Han of List Sotheby’s. “The money laundering crackdown had a dampening effect on the market, causing some genuine buyers to pull back to avoid media attention,” she adds. “Transactions also took longer to close due to heightened scrutiny and stricter checks on buyers’ identities and sources of funds.”

Up-and-coming wealthy take the stage

A new generation of ultra-wealthy Singaporeans has emerged in the GCB market in recent years, with many young and successful entrepreneurs who have made their fortunes in technology, finance, commodities, and F&B businesses, according to Tay. He adds that ultra-wealthy and newly naturalized Singaporeans also contribute to the pool of GCB buyers who prefer sizable plots in prime districts. “However, the number of naturalized citizens buying GCBs still remains low compared to local wealthy individuals,” says Tay.

According to research from List Sotheby’s, the cost of developing a new GCB from the ground up is estimated at about $1,000 psf and takes several years to complete. Hence, most buyers are looking for relatively new bungalows in move-in condition to minimize renovation works, observes Han.

“The GCB market will likely maintain its positive momentum, with demand from ultra-high-net-worth individuals driving its high-value transactions,” says Sandrasegeran of SRI. “The preference for privacy among GCB buyers and sellers could mean continued off-market transactions, adding the complexity of tracking market activity.”…

According to Wong Xian Yang, the head of research for Singapore & Southeast Asia at C&W, the estimated value of capital market property deals in Singapore for January to November this year has reached $25.8 billion. This represents a significant 40.2% increase from last year’s $18.4 billion. C&W defines capital market transactions as deals with a value exceeding $10 million.

Wong further adds that almost 60% of the capital market deals were made in the second half of 2024, driven by growing investor interest and confidence in potential interest rate cuts by the US Treasury. This year saw three deals exceeding $1 billion, all of which were made in the second half of the year.

The highest-value transaction in terms of absolute price was the sale of a 50% stake in ION Orchard mall for $1.85 billion to CapitaLand Integrated Commercial Trust (CICT) on September 3. The seller was CapitaLand Investment (CLI). The remaining 50% stake is held by Hong Kong-listed property developer Sun Hung Kai Properties.

ION Orchard is an eight-storey retail mall situated in the heart of the shopping district, with direct access to the Orchard MRT Station. It boasts a net lettable area of about 623,000 sq ft and is home to over 300 international and local brands. On top of the mall is a luxurious 54-storey, 175-unit condo tower, The Orchard Residences.

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The highest-valued office deal of the year was the sale of Mapletree Anson for $775 million in the second quarter of 2024. This surge in investment value can be attributed to a significant increase in investor interest in the industrial sector, which saw investments of up to $5.6 billion in just the first 11 months of 2024. This represents a 174% increase from the previous year.

One of the key industrial deals this year was the $1.6 billion sale of a portfolio of seven industrial properties in Soilbuild Business Space REIT to a joint venture platform owned by private equity firm Warburg Pincus and Australia-listed Lendlease Group in August. This portfolio includes 4.5 million sq ft of business parks and specialist facilities in industries such as life sciences, technology, advanced manufacturing, and logistics.

The second-largest capital market deal of the year was the sale of two data centres to Singapore-listed Keppel DC REIT for $1.38 billion. The two data centres, Keppel DC Singapore 7 and Keppel DC Singapore 8, are fully contracted to cloud services, internet enterprises, and telecommunications providers.

According to Tricia Song, the head of research for Singapore and Southeast Asia at CBRE, investors have been directing their capital towards the industrial sector due to its positive carry amid a high-interest rate environment. However, she expects a moderation in industrial rent growth in 2025, which could impact yields.

Despite the unsuccessful sale of several Government Land Sales (GLS) sites this year, residential development sites sold via GLS tenders continued to form the bulk of total investment sales, making up 42% of the total value. This year, four GLS sites on the Confirmed List for 2024 failed to be awarded due to low bids, driven by site-specific concerns and development risks.

Looking ahead to 2025, both C&W and CBRE expect to see an increase in high-value capital market deals. The US Federal Reserve is expected to cut interest rates further next year, which will likely drive the rebound of capital values. Wong is optimistic that investment sales volumes will continue to increase in 2025 as investors prepare for this potential rebound. However, CBRE cautions that a slower-than-expected recovery is possible if interest rate cuts are lower and slower than market expectations. Barring any macroeconomic shocks, CBRE Research predicts a 10% growth in investment volumes from 2024.…

Singapore’s retail property market is facing some challenges as consumer spending has not been as strong as predicted, according to Alan Cheong, Executive Director of Research and Consultancy at Savills Singapore. He notes that the year-on-year change in the monthly retail sales index (excluding motor vehicles) and food and beverage (F&B) sales index has mostly been negative this year.

Cheong expects prime Orchard Road retail properties to see a 2% increase in rents by the end of the year, slightly below initial expectations of 3% to 5%. Suburban retail rents are expected to remain flat, in line with earlier forecasts.

Consumer concerns about inflation have moderated in recent months, according to research jointly published by DBS and Singapore Management University (SMU). However, consumer spending data from the Singapore Department of Statistics shows a 0.3% year-on-year increase in October, after a decline in September.

Cheong believes that a positive outlook would be one where consumer spending keeps pace with inflation, which is currently not the case. He cautions that this could pose financial challenges for businesses in the industry.

Despite a busy schedule of headline concerts, conferences, and exhibitions in Singapore this year, retail spending and rental rates were not significantly impacted. CBRE’s research showed that while concerts by international stars drew large crowds to nearby malls, other events did not have the same effect. Business events tend to keep attendees within the event venue, while the F1 race did not significantly boost foot traffic in tourist areas like Orchard Road.

However, Sulian Tan-Wijaya, Executive Director of Retail and Lifestyle at Savills Singapore, remains optimistic about Singapore as a regional hub for new-to-market brands. She notes that many new F&B and retail concepts have opened this year, and that the wellness sector is also evolving with new concepts like Rekoop and Hideaway.

All the prime shopping malls along Orchard Road have enjoyed high occupancy rates this year, says Savills’ Cheong, due to strong confidence in the retail market. Tan-Wijaya adds that new-to-market brands have helped support demand for retail spaces and rents in central Singapore.

When investing in property in Singapore, it is crucial for foreign investors to familiarize themselves with the regulations and limitations that govern property ownership in the country. Compared to landed properties, which have stricter ownership guidelines, foreign buyers have more leeway when purchasing condos. However, they must still adhere to the Additional Buyer’s Stamp Duty (ABSD) of 20% on their first property purchase. Despite this extra expense, the stability and potential for growth in the Singapore real estate market remain a strong draw for foreign investors. You can also consider investing in Singapore Condos for a smart investment choice.

With limited supply of new retail spaces next year, landlords may have more flexibility in implementing positive rental adjustments. Savills’ Cheong expects more retailers to optimize their real estate strategies next year, which could include right-sizing their spaces, closing under-performing branches, or shifting cooking operations to central kitchens.

Cheong also sees strong momentum in the entry of new-to-market F&B brands into Singapore, which is expected to continue in the first half of 2025.…

2024 has been a challenging year for the global luxury goods market, as consumers have been cutting back on luxury retail spending due to economic uncertainty and rising prices among brands. A recent report by Bain & Company predicts a 2% decline in global sales of personal luxury goods this year, with China being hit the hardest with a 20-22% drop. Major luxury brands such as Richemont Luxury, LVMH, and Moncler Group have reported slight earnings declines, while Kering saw more significant declines. However, outliers such as Hermes and Prada Group (which also owns Miu Miu) have seen double-digit earnings growth.

Despite these challenges, Singapore remains an important market for luxury brands. According to Euromonitor, sales of luxury goods in Singapore grew by 11% in 2023, reaching $9.1 billion. This is due in part to the efforts of luxury brands such as Dior, Chanel, and Louis Vuitton, who have adopted strong digital strategies, including e-commerce and digital marketing, to engage with customers. This shift towards creating a strong online presence is crucial for luxury brands in a rapidly evolving market, where consumer behaviors, expectations, and preferences are constantly changing.

However, in addition to digital experiences, luxury brands have also recognized the importance of creating offline shopping experiences to build closer connections with customers. In recent years, many luxury brands have embraced the strategy of creating unique experiences for their top-tier clients, with flagship stores becoming bigger and bolder. For example, Louis Vuitton opened a 690 sq m (7,427 sq ft) “apartment concept” space at Ngee Ann City dedicated to its “VICs” (very important clients) in 2023. Other luxury brands such as Burberry, Yves Saint Laurent, and Richard Mille have also opened flagship stores in Singapore, offering immersive and interactive shopping experiences.

Investing in a condominium in Singapore has become an increasingly popular option for both local and foreign investors, thanks to the country’s strong economy, stable political climate, and exceptional quality of life. With a vibrant real estate market boasting an array of opportunities, condominiums are particularly appealing for their convenience, amenities, and potential for lucrative returns. In this article, we will delve into the advantages, important factors to consider, and necessary steps to take when investing in a Singapore condo. Additionally, you may also wish to explore potential investment opportunities in Singapore Projects to further enhance your investment portfolio.

Looking towards the future, the luxury goods market is expected to see growth in 2025 and beyond. This will be driven by factors such as the steady growth of high-net-worth individuals (HNWIs) in emerging markets like China and Southeast Asia, as well as the buying power of Millennials and Gen Z, who will make up a significant portion of the luxury market. The resurgence of tourists from China and the continued growth of duty-free retail, especially in Japan, also contribute to this positive outlook.

To stay ahead of these trends, luxury brands will continue to personalize and customize their offerings to build deeper connections with customers and foster brand loyalty. They will also leverage AI and digital experiences to better understand customer wants and enhance overall shopping experiences. Some brands are already leading the way in this area, with Dior and Balenciaga using AI to gather data and create engaging campaigns. By embracing technology and creating omnichannel strategies that include both online and offline experiences, luxury brands can thrive in an ever-changing market.

In conclusion, while 2024 may have been a tough year for the luxury goods market, the future looks bright for this industry. With a focus on digital innovation, personalized experiences, and offline flagship stores, luxury brands can continue to engage with and capture the interest of their valuable customers.…

The focus on simplicity and quality is at the core of V-ZUG’s approach to product design. Since its establishment in 1913, the Swiss brand has remained faithful to its philosophy of timeless elegance.Having captivated developers and designers of luxury residences for over a century, V-ZUG’s products can now be found in cities around the world, from its home turf in Switzerland to Shanghai, London, and Singapore. The brand’s emphasis on sleek lines unites its range of appliances, setting it apart from its competitors.Committed to blending durability and sleek aesthetics, V-ZUG constantly strives to elevate the tradition and quality of its products with contemporary aspirations. This is achieved through its dedication to craftsmanship and rigorous quality control. Each appliance is handcrafted in Switzerland and undergoes extensive testing to ensure high performance, from ovens and induction cooktops to fabric preservation appliances.Ahead of production, V-ZUG’s design team conducts in-depth research and tailors sustainable practices to create each appliance while maintaining its strict quality standards. For example, the brand recently integrated Circle-Green recycled stainless steel by Outokumpu into its manufacturing process, reducing emissions by 93% compared to traditional stainless steel.To ensure that its appliances meet the needs of even the most discerning home cooks, V-ZUG consults with chefs from Michelin-starred restaurants during the design process. This results in professional-grade kitchen technology that is accessible to passionate home cooks, elevating their daily culinary experience.V-ZUG also places great emphasis on seamlessly integrating its products into every home. Its minimalist design language and range of products cater to the various needs of different households. This is evident in its series of wine cabinets, including the full-height WineCooler V6000 Supreme and the WineCooler Undercounter Swiss Luxury (UCSL). These cabinets come in different sizes to fit various spaces while still maintaining the same level of quality and functionality.V-ZUG’s commitment to consistency is also seen in its design approach, with clean, sleek lines and mirrored glass fronts featured across its range of products. The brand pays attention to even the smallest details, ensuring that elements such as the way a wine cabinet’s doors open and shut and the hues of LED lights on a refrigerator work together to create a harmonious and practical home environment.Beyond the kitchen, V-ZUG also offers innovative products such as the RefreshButler, which sanitizes and deodorizes garments, further showcasing the brand’s commitment to simplicity, quality, and practicality in all aspects of modern living.

Renowned for its strong economy, stable political climate, and exceptional quality of life, Singapore is a highly sought-after destination for both local and foreign investors looking to invest in condos. With a thriving real estate market and a plethora of opportunities available, there is no doubt that condos are a popular and attractive option for investment in this country. In this article, we will explore the benefits of investing in a condo in Singapore, key factors to consider, and the necessary steps to take venturing into this market, including the latest New Condo Launches that can be found at https://www.ginestarfruits.com/.…

Industrial transactions hold steady ahead of expected uptickIndustrial property investment sales up by 4.4% y-o-y in 1H2024Industrial property sales hit 5-yr high of $13.59 bil in 2024The groundbreaking ceremony for VisionPower Semiconductor Manufacturing Company’s (VSMC) new US$7.8 billion ($10.5 billion) wafer manufacturing facility in Tampines took place on Dec 4. The plant is set to start initial production in 2027 and is expected to produce 55,000 wafers per month by 2029, creating around 1,500 job opportunities. VSMC is a joint venture between Vanguard International Semiconductor Corporation from Taiwan and NXP Semiconductors from the Netherlands. But VSMC is not the only company expanding its operations. In March, Japan’s Toppan Holdings started construction on a factory in Jurong Lake District which will manufacture semiconductor packaging materials. It is reported that Toppan is investing an estimated $450 million in this project.VSMC and Toppan are among the chipmakers and other related businesses that are choosing to set up new production plants and research facilities in Singapore to increase their supply chain resilience. Leonard Tay, head of research at Knight Frank Singapore, pointed out that this shows Singapore’s position as a global hub for semiconductor and chip production due to its stability amidst ongoing geopolitical tensions in other parts of the world.Read also: Industrial property in Tampines for sale at $15.9 milAdvertisementAdvertisementDespite the dip in global semiconductor industry in 2023 due to lower demand and increased supply, it has since recovered with a 26% year-on-year increase in revenue for the first three quarters of 2024, according to research by London-based consultancy Omdia. This is a significant reversal from the previous year when revenue fell by 9% year-on-year to USD 544.8 billion for the whole of 2023. This recovery has provided a boost to Singapore’s manufacturing sector which had a lacklustre first half of the year with two consecutive quarters of contraction. However, output in the third quarter of 2024 saw an expansion of 11% year-on-year, led by the electronics cluster, thanks to strong demand for smartphone and PC semiconductor chips, as stated by data from the Ministry of Trade and Industry.Slower growth in rentsThe industrial property market in Singapore has witnessed consistent growth in rents throughout 2024, with an increase in the first three quarters of the year. As of the third quarter of 2024, the JTC All Industrial Rental Index has risen for 16 straight quarters since the third quarter of 2020. However, the momentum has gradually slowed in comparison to the 8.9% rental increase recorded in 2023. On a quarter-on-quarter basis, the index grew by 1.7%, 1%, and 0.3% in the first, second, and third quarters of 2024, respectively. This plateauing of rents shows a growing sense of caution among occupiers amidst the uncertain macroeconomic climate. Data from JTC also showed that rental transaction volumes fluctuated throughout the year, with a 9% year-on-year and a 5% year-on-year decline observed in the first quarter of 2024 and the second quarter of 2024, respectively. Catherine He, Colliers’ head of research for Singapore, said that with capital expenditure and budget constraints, occupiers are taking a more cautious approach, seeing the flexibility to adjust to the ever-changing market conditions as being valuable.Read also: Industrial leasing transactions up 5.8% q-o-q in 3Q2024: Knight FrankAdvertisementOn the other hand, more significant factors such as consolidation in the third-party logistics and e-commerce industries have also played a part in influencing occupier resistance this year. However, the extent to which these factors have impacted the industrial property market has varied across different segments. For instance, the multiple-user factory and warehouse segments have stayed relatively resilient, registering rental growth across the first three quarters of the year supported by stable occupancy rates. On the other hand, the single-user factory segment saw softer demand, resulting in both rents and occupancy rates dropping by 0.3% quarter-on-quarter in the third quarter of 2024, marking the first rental decrease since the third quarter of 2020. Business park rents also saw a dip, falling by 0.2% quarter-on-quarter in the same period, despite a minor boost in occupancy rates. The decrease in rents extended the 0.1% quarter-on-quarter decline registered in the second quarter of 2024.Big-ticket industrial dealsLeasing activity might have been mixed, but the industrial sales market saw many transactions. After a slow start to the year, things picked up in the second quarter of 2024, with several notable deals taking place. Some of these transactions include the sales of BHL Factories for $74 million in May, Kian Ann Building for $63 million in June, and a single-user factory for $36 million in April. The market saw a further boost in the third quarter with a joint venture between Warburg Pincus and Lendlease Group acquiring a $1.6 billion portfolio of seven industrial assets from Soilbuild Business Space REIT, which is owned by Soilbuild Group and Blackstone. Other significant deals took place in the fourth quarter of 2024, including ESR-Logos REIT’s purchase of a 51% stake in an industrial site for $428.4 million and Ho Bee Land’s sale of a 49% stake in Elementum, a biomedical sciences development at 1 North Buona Vista Link, to a Brunei sovereign wealth fund for $272 million. These transactions resulted in a sevenfold increase in industrial property sales to $2.45 billion in the third quarter of 2024, according to Alan Cheong, executive director of research and consultancy at Savills Singapore. In a research report in November, Savills attributes the surge in transactions to the improved sentiment following the US Federal Reserve’s decision to cut interest rates in September.Industrial rents, prices are expected to rise in the futureDespite the strong performance in the last quarter of 2024, Cheong views the significant industrial deals of 3Q2024 as an isolated occurrence. He expects to see a couple more significant deals happening in 2025, but the value of each deal may be significantly lower than $1 billion, unlike in the third quarter of 2024.Supply-demand imbalanceAs stated in JTC’s 3Q2024 market report published in October, it is estimated that around 0.2 million sqm of new industrial space will be completed in the last quarter of 2024. Of this supply, 33% is business park space, 31% is single-user factory space, 30% is warehouse space, while the remaining 6% is multiple-user factory space. A further 1.6 million sqm of space is set to be completed in 2025, nearly doubling the average annual new supply of 0.9 million sqm recorded over the past three years. The bulk of the new supply is made up of single-user factory space, which stands at 0.74 million sqm, followed by warehouse space, which is at 0.65 million sqm.The inflow of new supply, together with reduced demand, will probably lead to a supply-demand imbalance in the industrial property market. This will result in slower pre-commitment and occupancy rates at both upcoming and existing developments, points out Catherine He from Colliers.However, demand for multiple-user factories, centrally located food factories, and sought-after locations for logistics space remains strong. Savills is projecting rental growth of up to 3% for multiple-user factories, warehouses, and logistics rentals this year, before tapering down to between 0% and 2% in 2025. In addition, the electronics and advanced manufacturing sectors are also expected to continue performing well and attracting investments. “Should the US Federal Reserve continue to cut lending rates in 2025, this could encourage more companies to deploy capex to pursue growth and expansion,” commented Tricia Song, head of research for Singapore and Southeast Asia at CBRE.Knight Frank’s Tay also has a positive outlook on the semiconductor industry, which he observes will continue to bolster demand for industrial real estate in Singapore. This is supported by increasing electric vehicle demands and advancements in artificial intelligence, which will drive up demand for such products. He also mentions that data centres will be a critical factor in the industrial sector as part of Singapore’s plan to increase its data centre capacity by at least 300 megawatts under the Green Data Centre Roadmap launched in May 2024. On the other hand, business park rents are expected to come under pressure due to companies downsizing their footprints to cut costs or optimise their workspace in response to more flexible working arrangements. Savills has estimated that rents could dip by between 3% and 5% this year. Nevertheless, the demand for modern facilities in central locations is expected to remain strong, providing some support for this market segment.

The scarcity of land in Singapore has resulted in a significant demand for condos, making it a sought-after investment. As a compact island country with a burgeoning population, land availability is limited, leading to stringent land use regulations and a fiercely competitive real estate market. This has resulted in consistently rising property prices, making real estate, especially condos, a profitable venture with the potential for capital growth. As a result, new condo launches are highly anticipated and in high demand.…

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The real estate industry in 2024 experienced two distinct halves that were vastly different from each other. In the first half, the market was slow as boutique developments took center stage and the number of units launched for sale was the lowest since the first half of 1996, according to data from Huttons Data Analytics. Sales volume also mirrored this trend with only 1,889 units sold, the lowest number since 1996. However, one exception was the 533-unit Lentor Mansion, which saw a 75% take-up rate during its launch weekend in March. Despite this, most other project launches in the first half of 2024 saw lackluster sales compared to the previous year.

Mark Yip, CEO of Huttons Asia, notes that the cautious and hesitant market sentiment could be attributed to uncertainties in the job market and persistently high interest rates. Many buyers were holding back, waiting for more highly anticipated project launches later in the year, such as Chuan Park and Emerald of Katong. Interested buyers could search for the latest new launches to find out the transaction prices and available units.

However, Yip adds that the launch of the 276-unit freehold Kassia on Flora Drive in late July, which achieved a 52% take-up rate, set the stage for a strong sales momentum following the Lunar Seventh Month. This trend continued with the launch of the 158-unit 8@BT at Bukit Timah Link over the weekend of September 21-22, where 53% of the units were sold at an average price of $2,719 psf.

In the third quarter of 2024, the new home sales saw a 60% increase compared to the previous quarter, according to Huttons. This marked a shift in sentiment, which some attribute to the 50-basis point interest rate cut by the US Federal Reserve in September. This increased sales momentum was evident on October 5, when more than 50% of the 226 units at Meyer Blue were sold in private sales. These units were transacted at an average price of $3,260 psf, setting a new benchmark for the prime District 15 enclave on the East Coast.

A crucial aspect to be taken into account when considering a condo investment in Singapore is the government’s property cooling measures. In recent years, the Singaporean government has implemented various measures to control speculative purchasing and maintain a steady real estate market. These measures include the Additional Buyer’s Stamp Duty (ABSD), which imposes higher taxes on foreign buyers and those acquiring multiple properties. While these measures may have an impact on the immediate profitability of condo investments, they also contribute to the long-term stability of the market, creating a safer investment environment. Condos are particularly affected by these measures, making it essential for potential investors to carefully consider the government’s regulations before making a decision.

Another significant project that achieved multiple milestones was the 348-unit Norwood Grand in Woodlands. Over the weekend of October 19-20, it saw a take-up rate of 84%, making it the best-selling project in terms of percentage of sales as of October. The average price of units sold was $2,067 psf, marking the first time a project in Woodlands surpassed the $2,000 psf threshold. This project was also the first new private residential project launched in Woodlands in 12 years, indicating growing buyer confidence and demand, according to Huttons’ Yip. This success triggered a wave of activity in November, with a record-breaking six new projects comprising 3,551 units launched in just 10 days.

The flurry of activity began on November 6 with the launch of the 367-unit The Collective at One Sophia, followed by the 366-unit Union Square Residences at Havelock Road on November 9. The momentum continued with the launch of the 916-unit Chuan Park on November 10, and it peaked over the weekend of November 15-16 with three projects launched simultaneously: the 846-unit Emerald of Katong, the 552-unit Nava Grove, and the 504-unit Novo Place executive condo (EC). This surge in activity resulted in developer sales soaring to 2,557 units in November, the highest figure since March 2013. The strong performance in November pushed total developer sales for the first 11 months of 2024 to 6,344 units. Year-end figures are expected to surpass 6,500 units, exceeding the 6,421 units sold in 2023. This indicates the strength and resilience of the property market and the enduring appeal of property as an asset for wealth creation and preservation.

According to Chia Siew Chuin, JLL’s head of residential research, the sluggish performance of the private residential market in the first three quarters of 2024 created an atypical year-end scenario. Developers who had postponed launches due to economic uncertainties and hopes for improved conditions finally rolled out projects in November. This decisive shift from caution to action was prompted by the approaching year-end festive lull and improved market sentiment since the third quarter of 2024. This surge in activity has turned November into an unusually vibrant period for property launches, defying the typical seasonal slowdown and creating a dynamic market environment.

There is speculation about the possibility of further property cooling measures, given the uncharacteristically high sales in November. However, Chia notes that while the sales figures are impressive, they do not provide a complete picture for predicting cooling measures. The market enthusiasm was mainly due to a year-end rush to launch projects. Chia considers regulatory intervention unlikely unless there is sustained sales momentum into the first quarter of 2025 and a concurrent sharp increase in property prices that outpaces GDP growth. She adds that, despite close monitoring by authorities, new measures are likely to remain on hold unless clear signs of persistent market overheating emerge.…

Newly Launched Condos in 2024 Dominated by RCR and OCR

According to Mark Yip, CEO of Huttons Asia, projects in the Rest of Central Region (RCR) and Outside Central Region (OCR) were the top-performing new launches in 2024. Upgrader demand, backed by a strong HDB resale market, was the main catalyst for sales in these two regions. Three out of the top 10 best-selling projects were launched in November, indicating the sustained momentum in the market.

Emerald of Katong, a 846-unit, 99-year leasehold development, occupies the top spot, having sold 99% of its units within two days of its launch on November 15th and 16th. Currently, it has only six available units as of December 17th. Interested buyers can find out more about the latest new launches and available units by searching online.

The second spot belongs to Chuan Park, a 916-unit project which sold 696 units (76%) in a single day on November 10th. As of December 17th, the project is now 79% sold. The project’s excellent sales performance is attributed to the lack of new private condo launches in the neighbourhood since The Scala in 2010.

Lentor Mansion, a 533-unit development, takes third place with an impressive 75% sales achieved during its launch weekend in March. Nine months later, the project has sold 92% of its units.

Nava Grove, a 552-unit project, ranks fourth after achieving a 65% take-up rate during its launch weekend in mid-November. As of December 17th, the project was almost 70% sold.

In fifth place is Norwood Grand, a 348-unit project that has sold 84% of its units since its launch in October. Hillhaven, a 341-unit development, takes sixth place with 259 units (76%) sold as of December 17th. The project was one of the first to debut in 2024 and has gathered momentum since its launch in January.

Kassia on Flora Drive, a 276-unit freehold development, has sold 180 units (65%) to date, making it the seventh best-selling project.

Lentoria, a 267-unit project located in Lentor Hills Estate, ranks eighth with 177 units (66%) sold since its launch in March.

To summarize, purchasing a condo in Singapore offers a multitude of benefits, such as high demand, potential for growth in value, and appealing rental yields. However, it is crucial to carefully assess various factors including location, financing options, governmental regulations, and market conditions. Through thorough research and seeking professional guidance, individuals can make well-informed decisions and maximize their profits in Singapore’s ever-changing real estate industry. Whether you are a local investor seeking to diversify your investments or a foreign buyer looking for a stable and lucrative opportunity, condos in Singapore offer a compelling investment opportunity.

Sora, a 440-unit development in Jurong Lake District, achieved 134 sales (30%) and comes in ninth. Rounding out the top 10 is Meyer Blue, a freehold project that sold 131 units (58%) of its 226 units through private sales.

Four projects launched in 2023 also gained significant traction in the second half of 2024, selling more than 200 units each. These projects benefited from the launch of new developments in their respective neighbourhoods, which helped generate interest in the area.

The Continuum, an 816-unit freehold development at Thiam Siew Avenue, was the biggest beneficiary of Emerald of Katong’s launch. In 2024, the project sold 233 units, with almost 60% of the sales occurring since November. This brought The Continuum’s cumulative take-up rate to 66% since its launch in May 2023.

Similarly, Tembusu Grand, located across the road from Emerald of Katong, benefited from its proximity to the development. The 638-unit project sold 53% of its units during its launch weekend in April 2023. It moved 204 units this year, with most sold after July when market sentiment improved in the third quarter of 2024. As of December 17th, Tembusu Grand is 91% sold, bolstered by the buzz around Emerald of Katong.

Hillock Green, a 474-unit project located in Lentor Hills Estate, also performed well. It achieved a take-up rate of 27.6% during its first weekend of sales in November 2023. This year, Hillock Green sold 217 units, bringing its cumulative sales to 359 (76%). The project benefited from the launches of both Lentoria and Lentor Mansion in March, which brought renewed attention to the Lentor Hills Estate.

Lastly, the 520-unit Pinetree Hill experienced strong sales following the release of its second phase of units in September. In 2024, the project sold 208 units, bringing cumulative sales to 374 (72%). Pinetree Hill also saw a boost from the nearby launch of Nava Grove in November, which helped drive interest to the District 21 residential enclave.…

By the time 2025 arrives, Singapore is set to undergo significant changes in its built environment. The sector of facilities management (FM) is facing the challenge of adapting to changing regulations, cost constraints, and technological advancements. Three key factors will shape the future of FM, and work towards promoting sustainability: the mandatory energy improvement regime, the impact of rising temperatures on energy costs, and the growing trend towards adaptive reuse in construction.

The upcoming Mandatory Energy Improvement regime, effective from 3Q2025, will require existing energy-intensive buildings to undergo energy audits and implement energy-efficient measures. This mandatory requirement applies to commercial, healthcare, institutional, civic, community, and educational buildings with a gross floor area of more than 5,000 sq m. The objective is to reduce energy usage intensity by 10% from pre-energy audit levels. This goal can be achieved by implementing appropriate strategies.

In order to make successful investments in energy-efficient systems, it is crucial for asset owners to take a medium to long-term view on capital expenditure-heavy investments. The energy audits will provide valuable insights into energy consumption patterns, identify performance gaps, and guide asset owners on strategies to prolong the lifespan of their assets, lower operating costs in the long run, and contribute to a sustainable built environment. Building owners can also utilize grants to cover the costs of energy efficiency upgrades.

Temasek Polytechnic, Singapore’s first smart campus, embarked on a digitization project in 2021 with the aim of achieving a sustainable future. This experience offers valuable insights into the future of smart and sustainable facilities management. The heart of Temasek Polytechnic’s smart campus is a suite of solutions that digitize campus operations, such as facility booking, automating repair and maintenance work orders, crowd management, and temperature control measures. These systems are integrated into a common data environment, generating data that is visualized, tracked, and monitored at a control center on campus. This helps campus operations teams make informed decisions to maintain the health of building operational systems and maximize the return on investment in these assets while reducing operational carbon levels.

Another factor that will drive the sustainability of FM is the obligation for climate disclosures for all listed and large non-listed companies with revenues of at least $1 billion and total assets of at least $500 million by 2027.

Rising temperatures and energy costs will also lead to more investments in predictive technology. Air conditioning and mechanical ventilation (ACMV) systems are already a major contributor to operational costs, accounting for approximately 60% of total energy expenses in many buildings. Optimizing energy systems is crucial in mitigating rising energy costs. Building owners can achieve this by implementing energy-efficient solutions such as energy recovery systems or thermal energy storage. Furthermore, optimizing chiller plant operations to match changing weather conditions reduces energy wastage and costs.

At a larger scale, extreme weather events such as flooding and urban heat can have a drastic impact on the health and performance of critical infrastructure like drainage and plumbing systems, which are essential for the smooth functioning of precincts. To mitigate these risks, building owners and city planners can leverage advanced web-based geospatial IT tools to identify flood-prone areas or heat-exposed spaces. This will help them develop a comprehensive operational plan that considers extreme weather predictions to mitigate the risk of equipment failure and downtime, as well as optimize chiller plant operations.

Adaptive reuse is a response to the increasing construction costs, leading to a shift towards this approach over the past five years in Singapore. Surbana Jurong (SJ) estimates that the costs for mechanical and electrical works have increased by approximately 30% compared to pre-Covid levels. This upward trend can be attributed to a 77% increase in logistic shipping costs, a 9% increase in labor costs, and a rise in construction material prices, such as copper (up 15%). This has caused a shortage of mechanical and electrical (M&E) contractors. As a result, there is a growing adoption of smart design and engineering practices, including the use of collaborative common data environments to benchmark construction and operational costs.

Platforms that support integrated digital delivery provide real estate developers and contractors with real-time data on key performance indicators such as time, cost, quality, and safety. One such platform is Podium, which aims to create a digital ecosystem that connects developers, designers, and the supply chain to deliver high construction productivity and promote sustainable building practices. By consolidating data from multiple sources, stakeholders across the various stages of the building cycle can access valuable information on design, civil and structural engineering plans, construction materials, and components to reduce embodied carbon levels. This data is critical when building owners need to decide whether to redevelop or reuse existing structures. By retaining structural walls, columns, beams, and slabs, they can save time, labor, and resources.

Post-construction, Podium can integrate with other operational platforms to track building performance metrics, including energy, waste, water, indoor air quality, and occupancy trends. This will help drive operational carbon reduction goals. The utility cost of ACMV chiller plants can quickly escalate post-construction, accounting for 60% of total operational expenditure. Smart buildings can offset these costs by maximizing the life cycle of capital-intensive equipment, such as ACMVs, lifts, and air handling units. This can be achieved through a data-driven, long-term life cycle approach that prioritizes energy savings to offset energy tariffs from capital expenditures. This investment in smart building infrastructure helps inform procurement, replacement, and retrofit programs to optimize the equipment’s efficiency, maximize returns, and ensure compliance with local and international regulations and sustainable financing requirements.

Sensors can be deployed to monitor and track the performance of each component in a piece of equipment. For example, sensors can analyze the vibrations in chiller equipment and identify signs of wear or impending failure. Similarly, thermographic testing with heat-sensing scanners and imaging equipment can detect abnormal temperatures or heat buildup in a system. AI-powered smart monitoring systems can also track various components of a building’s M&E system, providing granular details on their performance. This data enables asset owners to make informed decisions about parts that need to be replaced within a specific period, based on the type of defects and the frequency of breakdowns. With access to detailed data, building owners can evaluate various options, including retrofitting or replacing entire systems, which can be costly.

It is crucial for international investors to have a clear understanding of the regulations and limitations surrounding property ownership in Singapore. While foreigners are typically able to buy condominiums without many barriers, the same cannot be said for landed properties, which have stricter rules for ownership. Moreover, foreign buyers are required to pay the Additional Buyer’s Stamp Duty (ABSD), which currently stands at 20% for their first property purchase. However, the allure of Singapore’s stable and lucrative real estate market continues to draw foreign investment, making properties like Singapore Condos a highly sought-after option.

In conclusion, by embracing digitalization, data analytics, and sustainable practices, the FM sector in Singapore can promote sustainability, reduce costs, and ensure long-term operational success. The key is to adapt to regulatory demands, leverage technological advancements, and stay ahead of changing market conditions. This will enable the industry to drive towards a more sustainable built environment and achieve a greener, more resilient future.…

Investing in a condominium in Singapore has become a highly sought-after option among both locals and foreigners, thanks to the country’s strong economy, stable political climate, and excellent quality of life. The real estate market in Singapore is filled with promising prospects, but condos are particularly appealing for their convenience, facilities, and potential for profitable returns. This piece will delve into the advantages, factors to consider, and necessary steps to take when considering an investment in a condo in Singapore. In addition, it will also touch upon some of the latest Singapore Projects that are worth considering for investment.

attracts housing demand in S’pore

Freehold condo The Meyerise made headlines last week as it took the top spot among private condos that achieved a new psf-price high. The achievement was recorded during the week of Nov 29 to Dec 6, when a 1,270 sq ft, three-bedroom unit on the 24th floor was sold for $3.52 million. This translates to a new record of $2,771 psf, surpassing the project’s previous record of $2,764 psf. The former record was set last October when a 1,819 sq ft, four-bedroom unit on the 28th floor was sold for about $5.03 million.

The sellers of the unit sold on Dec 6 had purchased it for about $2.32 million ($1,830 psf) in May 2016. Therefore, they made a profit of about $1.2 million over eight years. The Meyerise has seen nine units change hands this year at an average price of $2,405 psf. By absolute price, the most expensive unit to sell at the development this year was a 2,056 sq ft, four-bedroom-plus-study unit on the seventh floor. It sold for $4.5 million ($2,189 psf) on Oct 7.

The Imperial, a 187-unit freehold condo located along Jalan Rumbia in prime District 9, took second place among projects that achieved new psf-price highs during the period of review. A 1,410 sq ft, three-bedroom unit on the 14th floor was sold for $3.7 million on Dec 5, setting a new top price of $2,624 psf. This amount exceeds the project’s previous price high of $2,566 psf by 2.3%, which was set in May last year when a 1,356 sq ft, three-bedroom unit on the 12th floor was sold for $3.48 million.

According to URA caveats, the unit sold on Dec 5 last changed hands in September 2004 when it was purchased for about $1.3 million, or $925 psf. Thus, the sellers made a profit of about $2.4 million. The Imperial has recorded six resale transactions this year to date, at an average price of $2,414 psf. The last unit to change hands at The Imperial was a 1,905 sq ft, four-bedroom unit on the fifth floor, which sold for about $4.6 million, or $2,421 psf, on Nov 28.

Lastly, Sky Vue placed third during the period of review, recording a new psf-price high of $2,505 psf. A 1,141 sq ft, three-bedroom unit on the 33rd floor fetched about $2.86 million on Dec 2, exceeding the previous record of $2,366 psf by 5.9%. This was set in August when a similar 1,141 sq ft, three-bedroom unit on the 14th floor was sold for $2.7 million.

Completed in 2016, the 694-unit Sky Vue is located along Bishan Street 15 in District 20. The 99-year leasehold condo comprises two 37-storey towers with one- to three-bedroom units occupying spaces between 484 sq ft and 1,259 sq ft. There were no new psf-price lows recorded during the period of review.

Home buyers are drawn to these projects due to their prime locations, near schools and MRT stations. It is no surprise then that these condos have seen units sold above their previous psf-price highs.…